Thu, 13 Aug 2020

Ford posts 1.9 bln USD loss in Q2

31 Jul 2020, 09:30 GMT+10

CHICAGO, July 30 (Xinhua) -- Ford Motor Co. reported a pretax income loss of 1.9 billion U.S. dollars in the second quarter of this year, according to the U.S. automaker's quarterly earnings report released on Thursday.

The revenue dropped to 19.4 billion dollars from 38.9 billion dollars in the second quarter of 2019.

The figure is much better than the automaker initially anticipated. After reporting a net loss of 2 billion dollars in the first quarter, the Dearborn-based automaker was expecting a 5-billion-dollar loss or worse in the second quarter, the Detroit News reported on Thursday.

Sales of Ford's F-Series truck lineup were down only 22.7 percent. Ford's Explorer SUV, the best-selling midsize SUV in the second quarter, posted a 12-percent sales increase over last year.

The automaker has taken a number of measures to get through the crisis, including drawing down 15 billion dollars from existing credit lines, issuing 8 billion dollars in bonds, temporarily suspending quarterly dividend and share buybacks, lowering operating costs, and reducing capital expenditures, local media reported.

An earlier report showed that sales of the automaker in the second quarter were down 33 percent from the previous year.

At the end of the second quarter, Ford had a 75-day supply of vehicles on dealer lots, down 5.2 percent from last year. It has more than 90 days' supply in July, data showed.

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